Query Relating to Care Costs

Plasticomo

I am joint owner of my property with my dad, who has helped me to buy it, with equal contributions. We have around 32,000 remaining on the mortgage and we would like to know if his half of the property would be counted as his assets when being assessed for contribution costs involved in care. If so, would I need to pay back these costs when I sell the house or die?

AskAsk

this article may help.  it seems to indicate that in certain circumstances, a relative may be able to continue to live at the property and the house will not be counted as assets for the means testing.

https://www.ageuk.org.uk/information-advice/care/paying-for-care/paying-for-a-care-home/do-i-have-to-sell-my-home-to-pay-for-care/

Keep_pedalling

What other assets does he own?

Plasticomo

I should point out that my father doesn't live at the property, he has his own house

Keep_pedalling

Plasticomo said:

I should point out that my father doesn't live at the property, he has his own house

If you want to receive good advice you really need to provided us the full details rather than drip feed snippets of information.

How much is your father’s house worth?
Does he live in his home alone, if not who ease lives there?
how much does he have in the form of savings?

His share  of your house would  almost certainly be included in his assessment for care costs but whether it would actually need to be used would very much depend on what other assets could be used first. For example if his house is worth £400k it is highly unlikely that there would be any call on your house, but if he is married or living with a dependant relative his house would be disregarded which would be a problem for your if his only other major assets was your house.

Mojisola

Plasticomo said:

we would like to know if his half of the property would be counted as his assets when being assessed for contribution costs involved in care. If so, would I need to pay back these costs when I sell the house or die?

As he doesn't live there, it would be included in the financial assessment as an asset. 
If he needs help from the council to pay for his care, it's likely that the council would put a charge on the house. 
It's unlikely that the council will wait for you to die before recovering the debt - it will need to be repaid when your father dies. If you can pay it by remortgaging, you won't need to sell the house. 

AskAsk

Plasticomo said:

I should point out that my father doesn't live at the property, he has his own house

then his half of your house will be taken into account as assets as it is not his main home.  you may have to sell the house and give him his share of the money so he can use it to pay the care home fees.

AskAsk

Mojisola said:

Plasticomo said:

we would like to know if his half of the property would be counted as his assets when being assessed for contribution costs involved in care. If so, would I need to pay back these costs when I sell the house or die?

As he doesn't live there, it would be included in the financial assessment as an asset. 
If he needs help from the council to pay for his care, it's likely that the council would put a charge on the house. 
It's unlikely that the council will wait for you to die before recovering the debt - it will need to be repaid when your father dies. If you can pay it by remortgaging, you won't need to sell the house. 

wouldn't the council force the sale of the house as it is not his main home?  why would they even bother putting a charge on the house?

elsien

AskAsk said:

Mojisola said:

Plasticomo said:

we would like to know if his half of the property would be counted as his assets when being assessed for contribution costs involved in care. If so, would I need to pay back these costs when I sell the house or die?

As he doesn't live there, it would be included in the financial assessment as an asset. 
If he needs help from the council to pay for his care, it's likely that the council would put a charge on the house. 
It's unlikely that the council will wait for you to die before recovering the debt - it will need to be repaid when your father dies. If you can pay it by remortgaging, you won't need to sell the house. 

wouldn't the council force the sale of the house as it is not his main home?  why would they even bother putting a charge on the house?

As a rule council’s don’t go round forcing the sale of houses.
What they do is have an expectation that the sums owed will be paid. That is down to the person/their representatives to arrange in the way that best suits them. 

justworriedabit

elsien said:

AskAsk said:

Mojisola said:

Plasticomo said:

we would like to know if his half of the property would be counted as his assets when being assessed for contribution costs involved in care. If so, would I need to pay back these costs when I sell the house or die?

As he doesn't live there, it would be included in the financial assessment as an asset. 
If he needs help from the council to pay for his care, it's likely that the council would put a charge on the house. 
It's unlikely that the council will wait for you to die before recovering the debt - it will need to be repaid when your father dies. If you can pay it by remortgaging, you won't need to sell the house. 

wouldn't the council force the sale of the house as it is not his main home?  why would they even bother putting a charge on the house?

As a rule council’s don’t go round forcing the sale of houses.
What they do is have an expectation that the sums owed will be paid. That is down to the person/their representatives to arrange in the way that best suits them. 

Not exactly correct.  A financial assessment will take place and determine if payment is needed 

Really good article and response by some solicitor, worth a reading one of the best I've read in some time

the article details income and capital assets and a second home/etc is just that but read the article  and then decided.

https://www.thisismoney.co.uk/money/pensions/article-7183375/If-needed-care-sell-second-flat-son-lives-in.html

elsien

justworriedabit said:

elsien said:

AskAsk said:

Mojisola said:

Plasticomo said:

we would like to know if his half of the property would be counted as his assets when being assessed for contribution costs involved in care. If so, would I need to pay back these costs when I sell the house or die?

As he doesn't live there, it would be included in the financial assessment as an asset. 
If he needs help from the council to pay for his care, it's likely that the council would put a charge on the house. 
It's unlikely that the council will wait for you to die before recovering the debt - it will need to be repaid when your father dies. If you can pay it by remortgaging, you won't need to sell the house. 

wouldn't the council force the sale of the house as it is not his main home?  why would they even bother putting a charge on the house?

As a rule council’s don’t go round forcing the sale of houses.
What they do is have an expectation that the sums owed will be paid. That is down to the person/their representatives to arrange in the way that best suits them. 

Not exactly correct.  A financial assessment will take place and determine if payment is needed 

Really good article and response by some solicitor, worth a reading one of the best I've read in some time

the article details income and capital assets and a second home/etc is just that but read the article  and then decided.

https://www.thisismoney.co.uk/money/pensions/article-7183375/If-needed-care-sell-second-flat-son-lives-in.html

I'm fully aware of the financial assessment, nor did I say they wouldn't have to pay. 
My point was that going to court to force a sale is an absolute last resort, not the first line the council would take as implied by an earlier poster.
HTH